Year: 2020

Single Touch Payroll The introduction of Single Touch Payroll (STP) has given government agencies the ability to share data in real-time with other government agencies to help them deliver government services to the Australian community. As part of the data-matching program, there is a STP data-sharing arrangement with Services Australia to help them administer Australia’s welfare system. This means that people who are on an income support payment from Services Australia and need to report their employment income fortnightly to Centrelink will now see their employer details are pre-filled. If you have any queries about Single Touch Payroll and how …

Set aside the necessary time required to do the regular reporting MONTHLY or QUARTERLY. Make it a priority! At the very latest get the regular reports completed by the 10th of the following month so the information they provide are timely and not out of date. Focus on current issues and future plans. Examine and fix any weaknesses or anomalies Understand your key business drivers and the resulting impact on the numbers. If necessary, get us, as your accountant and business advisor, to walk you through all the numbers and what they actually mean. Ensure you have the best systems …

A framework to help business owners to see their situation through a different lens and move upward. MELTDOWN If you need to have a meltdown, do it. Negative emotions will never go away, only fester. Don’t be ashamed to have a cry and a bit of a panic. ESTABLISH A BETTER VISION OF THE FUTURE. You and your clients have possibly got quite a negative vision of what’s to come. Armageddon, recession, etc. This needs to change. Start to vision the other side. SCENARIO PLANNING. Produce a cash flow forecast for the next 3 months. Imagine the worst scenario in …

Have you noticed how low the interest rates are now?! Have you thought about ringing your bank and just letting them know that you were considering changing banks to find a lower interest rate? Inform them that Macquarie Bank is offering a fixed rate of 2.19% for a period of 1 – 5 years and then ask if they can match it or do better? Guaranteed they will drop the interest rate they are currently charging you. Imagine, you did make that phone call, within those 5 – 10 mins you have saved yourself $$$$thousands . You need to realise …

When Covid-19 burst on the scene in early 2020, businesses faced dramatic shifts and the importance of strategic agility became critical. To survive, leaders were encouraged to pivot into new markets by developing new business models. As history has proved, during unprecedented times, it is necessary to prepare for what is next. Visionary leaders like Abraham Lincoln, FDR, Winston Churchill, and Nelson Mandela did not simply react to threats they looked beyond the horizon. They were guided and their people in turn motivated by their vision for a better future. McKinsey research demonstrates companies who pursued big strategic moves persistently …

5. Other budget announcements 5.5 Insolvency reforms to support small business The Government will implement certain insolvency reforms, effective from 1 January 2021 (subject to the passing of legislation) to support small business, including the following: The introduction of a new streamlined process to enable eligible incorporated small businesses (broadly, those with liabilities of less than $1 million) in financial distress to restructure their debt. Simplifying the liquidation process for eligible incorporated small businesses (to allow faster and lower-cost liquidations, increasing returns for creditors and employees). Support for the insolvency sector (to ensure it can respond effectively to increased demand …

5. Other budget announcements 5.4 Supporting the mental health of Australians in small business – COVID-19 response package The Government will provide $7 million in 2020/21 to support the mental health and financial wellbeing of small businesses impacted by COVID-19, including: $4.3 million to provide free, accessible and tailored support for small business owners by expanding Beyond Blue’s NewAccess program in partnership with the Australian Small Business and Family Enterprise Ombudsman; and $2.2 million to expand a free accredited professional development program that builds the mental health literacy of trusted business advisers so that they can better support small business …

5. Other budget announcements 5.3 Additional funding to address serious and organised crime in the tax and superannuation system. The Government will provide $15.1 million to the ATO to target serious and organised crime in the tax and superannuation systems. This extends the 2017/18 Budget measure Additional funding for addressing serious and organised crime in the tax system by a further two years to 30 June 2023. …

5. Other budget announcements 5.3 Clarifying income tax exemptions for individuals engaged by the IMF and World Bank group. The Government will clarify privileges and immunities, including income tax exemptions, available to Australian individuals performing short term missions on behalf of the International Monetary Fund (‘IMF’) and three institutions of the World Bank Group (‘WBG’). The measure will apply retrospectively from 1 July 2017. This measure will clarify that Australian short-term experts are entitled to an exemption from income tax for their relevant income from the organisations. This aligns Australia’s domestic legislative framework with its international obligations and provides certainty …

5. Other budget announcements 5.2 Superannuation reforms The Government will provide $159.6 million over four years from 2020/21 to implement reforms to improve outcomes for superannuation fund members. Currently, structural flaws in the superannuation system mean that unnecessary fees and insurance premiums are paid on multiple accounts, members pay too much in super fees, underperforming products are costing members in lost retirement savings, and there is inadequate transparency on how funds are spending members’ money. From 1 July 2021, the proposed reforms will make the system better for members in four key ways: Your superannuation follows you – An existing …